TechCrunch Industry News Karmen secures $9.4 million for its revenue-based financing products
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Jan 23, 2025 A French startup has just bagged €9 million to boost its instant financing solutions for small businesses in need. This funding round underscores their innovative approach to financial challenges faced by SMEs. Dive into how they leverage data technology for better risk assessment, making it a game-changer in the industry. Explore the potential impact on small businesses craving working capital and their exciting aspirations for the future.
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Karmen's Funding Round
- Karmen, a French startup, raises $9.4 million to enhance its instant financing products for small businesses.
- This funding round includes equity and debt from Seventure Partners, Financiere Arbevel, and BPI France.
Competitive Landscape
- Karmen faces competition from other instant financing platforms for SMEs, including Silver, DeFacto, Unlimited, and Hero.
- Revenue-based financing is gaining traction as traditional institutions struggle to serve the fragmented SME market.
Karmen's Growth
- Karmen secured a €100 million debt vehicle a few months prior to this funding round.
- Around 600 companies now use Karmen for short-term loans, ranging from €20,000 to €3 million.